Net sales decreased by 3 percent to SEK 54,374m. Profit before tax rose 12% to SEK 3,944m. Restructuring costs amounted to SEK 451m. Profit for the period rose 10% to 2,860m. Earnings per share were SEK 3.57. Cash flow from current operations was SEK 2,816m.
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2. Q2 2010 vs Q2 2009
SCA market update
Significantly increased raw material prices
OCC +330%
Recovered paper US +70%
Recovered paper Europe +120%
Pulp +60%
Hygiene business
Good growth for Incontinence care, AFH tissue and Feminine care
Continued good growth in emerging markets
Packaging and Forest Products
Increased demand for Packaging
• Corrugated volumes increased 9%
Increased demand for Publication papers
• Publication paper volumes increased 2%
2 Interim Report Q2 2010
4. H1 2010 results
SEK millions H1 H1 Change, Change,
unless otherwise stated 2010 2009 % %**
Net sales 54,374 56,242 -3 4
EBIT* 4,467 4,504 -1 3
EBIT margin* (%) 8.2 8.0
Profit before tax* 3,944 3,525 12 16
Earnings per share (SEK) 3.57 3.24 10
Cash flow from current operations 2,816 4,687
Debt/Equity ratio 0.62 0.71
* Excluding restructuring costs
** Adjusted for exchange rate movements
4 Interim Report Q2 2010
5. Q2 2010 vs. Q1 2010
Summary
Group
Sales increased 3%
EBIT increased 20%
Profit before tax increased 26%
Business areas
Higher EBIT in all business areas despite
higher raw material costs
Personal Care, EBIT increased 2%
• Higher volumes
Tissue, EBIT increased 11%
• Higher volumes and lower distribution costs
Packaging, EBIT increased 59%
• Higher prices and volumes
Forest Products, EBIT increased 42%
• Higher prices and lower energy costs
5 Interim Report Q2 2010
6. Net debt
And debt payment capacity
SEKm %
35%
31% 33%
28%
25%
6 Interim Report Q2 2010
12. Outlook 2010
Group
Improved general market conditions
Effects from price increases gradually during the
second half 2010
Hygiene businesses
Good demand
Increasing prices for Tissue
Packaging
Demand improvement
Increasing prices
Forest Products
Recovery from low level for publication papers
Price increases on magazine paper
12 Interim Report Q2 2010